What is a Car Warranty?

A car warranty is an optional protection program that covers the repair or replacement of major components of your vehicle under specific conditions. It typically lasts for a certain period, usually 1 to 5 years or up to 100,000 miles.

How Does a Car Warranty Work?

A car warranty is usually purchased when you buy your vehicle, and it provides financial protection against costly repairs. Most warranties include coverage for routine maintenance tasks, such as oil changes and tire rotations.

Leftover Coverage after Warranty Expiration

When a car warranty expires, you may still have leftover coverage under specific circumstances. This is known as "graceland clause" or "grace period." During this time, you can purchase additional coverage or make repairs without worrying about adding to your deductible.

Potential Issues with Leftover Coverage

There are some potential issues to consider when purchasing leftover warranty coverage. For example, you may need to pay additional fees for maintenance or repairs during the grace period, and some manufacturers might not honor these claims if they have already paid for the original warranty.